GAIL wins bid to build Gurdaspur-Jammu gas pipeline

26 Jun 2023 , 11:10 AM

GAIL (India) Ltd, the country’s largest gas distributor, has won a license to build a gas pipeline from Gurdaspur in Punjab to Jammu, according to the oil regulator PNGRB. GAIL has outbid Indian Oil Corporation.

The Petroleum and Natural Gas Regulatory Board (PNGRB) said in a statement that it invited application cum bids for the grant of authorization for the Gurdaspur-Jammu pipeline in January.

According to the statement, the deadline for bid submissions for the Gurdaspur-Jammu natural gas pipeline was May 17, 2023. The statement further mentioned that two bidders, namely GAIL (India) Ltd, and Indian Oil Corporation, have successfully submitted their bids.

The financial bids opened on June 21, and both the bidders were technically qualified.

The 175-kilometer pipeline will transport the environmentally friendly fuel to Jammu. The pipeline’s initial capacity will be at least 2 million standard cubic metres per day.

The Bhatinda-Jammu-Srinagar natural gas pipeline was initially awarded to a consortium led by Gujarat State Petronet Ltd (GSPL), which later registered as GSPL India Gasnet Ltd (GIGL).

However, GIGL has not completed the pipeline installation within the designated timeframe. As a result, the Petroleum and Natural Gas Regulatory Board (PNGRB) revoked the authorization and initiated a fresh bidding process for the Gurdaspur-Jammu pipeline.

At around 11.06 AM, GAIL India’s counter was trading 0.19% lower at Rs 104.85, against the previous close of Rs 105.05 on NSE.

For feedback and suggestions, write to us at [e-mail]